Contrast sole traders and partnerships

Assignment Help Business Law and Ethics

Reference no: EM133666003

LEGAL PROBLEM SOLVING QUESTION:

Ava Green, a prominent figure in Perth's renewable energy sector, is on the brink of a breakthrough in solar panel technology. Her innovative approach involves integrating organic materials to improve efficiency in energy capture and storage. Ava is confident that her invention could revolutionise the solar energy market, particularly for residential uses. Recognising the potential, Ava realises that significant development is still required to turn her concept into a market-ready product. To fund this ambitious project, she plans to secure a loan from a local financial institution.

Ava's son, Ethan Green, is an emerging talent in Material Science, currently undertaking his PhD in the field. His expertise in organic materials has been crucial in refining the technology behind Ava's solar panels. Ava envisions establishing a business not only to advance her retirement plans but also to build a financial legacy for Ethan and her daughter, Isla. Her goal is to reinvest the business profits into ongoing research and occasionally transfer some funds to her children's accounts as needed.

Ethan, who is deeply engaged in his PhD research, has agreed to join the business venture in a couple of years. In the meantime, he offers to support Ava in his spare time, including helping to set up the company. To equip the business with essential hardware, Ethan reaches out to Zoe Chen, a fellow PhD alumna who now operates an advanced materials lab, NanoLab Solutions Pty Ltd. Zoe offers Ethan a 30% discount on lab services for the first eighteen months if he agrees to feature NanoLab's logo on Ava's website and all promotional materials. Ethan, seeing the value in this offer, promptly signs the agreement. The contract specifies that the first payment to NanoLab Solutions Pty Ltd is due in six months from the signing date. Ethan informs Ava about this arrangement. Ava is excited about the idea of a partnership with, however, Ava feels that she should shop around for some other options first before prematurely committing to an agreement.

QUESTIONS

1. Ava asks you which type of business structure would be best for her situation. Compare and contrast sole traders, partnerships, private and public business structures and suggest which would be best for Ava and her specific commercial goals.

2. Ava is also concerned about the contract with NanoLab Solutions Pty Ltd, given it was signed before any business had been formally created. Advise Ava regarding the best way to ensure the contract remains active.

Reference no: EM133666003

Questions Cloud

Types of physical evidence might be found on crime scene : In chapter you learned about some of the different types of physical evidence that might be found on crime scene.

Why is it important to understand how historical research : Why is it important to understand how historical research is conducted in a course on American law? The Constitution emphasizes the importance of history

Write this to a more casual tone : Write this to a more casual tone: Yes, many nations have creation stories or myths that explain how the world or universe came into existence.

Explain how each persons work : Explain how each persons work/actions impact you personally (not the world in general)

Contrast sole traders and partnerships : Contrast sole traders, partnerships, private and public business structures and suggest which would be best for Ava and her specific commercial goals.

What is the average variable cost : Instructions: Enter all prices as 2 decimal places. What is the average fixed cost? What is the average variable cost? What is the average total cost?

What was the push and pull factors that propel : majority of the migrants originated from five states, name the states, and what was the push and pull factors that propel these migrants to relocate

What did kennedy gain by waiting an extra two days : What did Kennedy gain by waiting an extra two days after the first group presentation? Compare this with the Bay of Pigs decision.

What can you expect to happen to the equilibrium price : In a small town there is a sudden influx of tourists during the summer season. What can you expect to happen to the equilibrium price and quantity of ice cream?

User Account

All Pages